The staffs of the Federal Energy Regulatory Commission (Commission or FERC)
and the California State Lands Commission (CSLC), the state co-lead agency,
have prepared a draft environmental impact statement/environmental impact report
(EIS/EIR) on the natural gas pipeline facilities proposed by North Baja Pipeline,
LLC (North Baja) in the above-referenced dockets. North Baja’s Pipeline
Expansion Project would be located in La Paz County, Arizona and Riverside and
Imperial Counties, California.

North Baja proposes to construct 80 miles of 42- and 48-inch-diameter pipeline
loop, a 46-mile-long, 16-inch-diameter pipeline lateral to the existing Imperial
Irrigation District El Centro Generating Station, and other associated facilities.

The draft EIS/EIR was prepared to satisfy the requirements of the National
Environmental Policy Act, the California Environmental Quality Act, and the
Federal Land Management and Policy Act.

The U.S. Bureau of Land Management (BLM) and U.S. Bureau of Reclamation
are participating as cooperating agencies in the preparation of the draft
EIS/EIR. The draft EIS/EIR will also be used by the BLM to consider amending
the California Desert Conservation Area Plan and the Yuma District Resource
Management Plan.

The FERC and CSLC staffs conclude that the proposed project, with the appropriate
mitigation measures as recommended, would be an environmentally acceptable
action. The principal reasons are:

99 percent of the proposed pipeline facilities would be constructed
in or adjacent to various existing rights-of-way;

No new permanent right-of-way would be required for the pipeline loop, and
the permanent right-of-way for the lateral pipeline would be limited to a
maximum width of 30 feet;

North Baja would implement its various mitigation plans to protect natural
resources and residential areas during construction and operation of the project;

Use of the horizontal directional drill method would avoid disturbances to
the beds and banks of the Colorado River, the All-American Canal, and the
East Highline Canal and associated wetlands/riparian areas;

The appropriate agency and tribal consultations, and any appropriate compliance
actions resulting from these consultations, would be completed before North
Baja would be allowed to begin construction in any given area; and

An environmental inspection and mitigation monitoring program would ensure
compliance with all mitigation measures that become conditions of certification
or approval.

FERC Commissioners will take into consideration staff’s recommendations
and the final EIS when they make a decision on the project.